Stanley Company has obtained the following information about a proposed project:

Stanley Company has obtained the following information about a proposed project: Annual cash operating savings (excluding depreciation) for 5 years (end of year) $50,000 Depreciation expense per year for tax purposes $33,000 Estimated salvage value in 5 years $10,000 Cost of equipment $175,000 Required rate of return 11% Estimated useful life (in years) 5 Depreciation method for tax purposes Straight-line Present value of ordinary annuity of one Required: A) What is the NPV of the project? B) Should the project be undertaken?